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Do Foreign-Born Workers Cause Native-Born Workers to Move or Leave the Labor Force?

Author

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  • Allan Dizioli
  • Roberto Pinheiro

Abstract

This Commentary discusses how the presence of foreign-born workers in a local labor market affects the decisions of native-born workers to leave the labor force or move to another state. We analyze short panels obtained through the Current Population Survey and find that, in the short run, less-educated native-born workers react to a larger stock of foreign-born workers by either moving to a different state or dropping out of the labor force. In terms of magnitude, the effect is small but not insignificant.

Suggested Citation

  • Allan Dizioli & Roberto Pinheiro, 2017. "Do Foreign-Born Workers Cause Native-Born Workers to Move or Leave the Labor Force?," Economic Commentary, Federal Reserve Bank of Cleveland, issue November.
    • Handle: RePEc:fip:fedcec:00082
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    File URL: https://www.clevelandfed.org/newsroom-and-events/publications/economic-commentary/2017-economic-commentaries/ec-201719-effect-of-foreign-born-workers-on-native-born.aspx
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    Keywords

    Immigrants; labor force;

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